Credit – JLL

Manchester’s ambitious £4bn Victoria North development has secured £1.5m from Labour’s New Towns programme to support the business case for a proposed Metrolink tram stop at the heart of the growing residential area.

Developer FEC is working in partnership with Manchester City Council on the large-scale regeneration project, which aims to deliver 15,000 new homes over the next two decades.

Councillor Bev Craig, Leader of Manchester City Council, described Victoria North as “one of the most ambitious urban regeneration programmes in Europe.” She welcomed the funding, stating: “We are pleased that the new Government is keen to collaborate with us to deliver more homes and create more job opportunities for Manchester residents.”

The proposed tram stop would be located at Sandhills, serving North Manchester communities along the Metrolink line before it splits towards Bury in the west and Oldham and Rochdale in the east.

Tom Fenton, Strategic Partnerships Director at FEC, hailed the funding as a significant step forward. He said: “A new Metrolink stop at Sandhills has been a key part of the vision for Victoria North from the outset. Connecting residents to Greater Manchester’s wider employment opportunities has always been a priority for this partnership. While there is still work to do before the stop becomes a reality, this investment is a major milestone that will help shape our plans for a new neighbourhood centre and additional social infrastructure to support the local community.”

The bid for the tram stop has the backing of Transport for Greater Manchester, Homes England, the Greater Manchester Combined Authority, and Mayor Andy Burnham. The partners hope the new station will act as a catalyst for further investment in Sandhills.

Development guidelines issued by the council last summer emphasised the inclusion of replacement council homes, support for existing owner-occupiers, and the provision of affordable homes for both rent and sale.

Construction is already underway on the first phase of Victoria North, which includes 244 homes in Collyhurst Village and 30 social rented homes in South Collyhurst. This phase is scheduled for completion in 2026.

The broader Victoria North regeneration spans nearly 400 acres, extending from Victoria Station in the city centre to Queen’s Park in the northeast. The masterplan proposes seven neighbourhoods, connected by green spaces and improved access to the River Irk. The tram link aims to reconnect communities that have historically faced economic challenges.

Councillor Craig added: “Investment in a new Metrolink stop for this area would be a crucial step towards advancing the next phase of the Collyhurst regeneration project. Alongside the recent approval for North Manchester General Hospital, this demonstrates that Manchester remains a priority for the new Government.”

Additionally, Prime Minister Keir Starmer and Deputy Prime Minister Angela Rayner have announced a £1m nationwide funding package for government agencies, including National Highways, Natural England, and the Environment Agency, to accelerate planning approvals for new housing developments.

A further £2m has been allocated to the Building Safety Regulator to enhance the processing of new-build applications.

More than 100 sites across the country have applied to become designated New Towns under the taskforce initiative led by Sir Michael Lyons. Around a dozen locations are expected to be selected, with work anticipated to commence before the end of this Parliament. Each site will be required to deliver at least 10,000 homes.

Meanwhile, a newly established clearing service, designed to connect buyers with developers of uncontracted and unsold affordable homes, has attracted interest from nearly 300 housebuilders, local authorities, and registered housing providers since its launch two months ago.